Posts Tagged ‘impact of quantitative easing’
Posted by Larry Doyle on February 14th, 2013 6:56 AM |
The United States still has an official policy of pursuing a strong dollar, right?
Yes, right, and if you were to believe that, might I interest you in a bridge in Brooklyn?
The simple fact is that five years into our economic crisis, the major economic centers of the world, those being the USA, the EU, and now Japan are all employing the same central bank policy to support their economies. This policy of quantitative easing is an attempt to accomplish a combination of the following, with different emphasis depending on the region: (more…)
Tags: central bank policies 2013, currency devaluation, currency wars, debasing currencies, debt monetization, effects of quantitative easing, how do yo know when somebody is lying, impact of quantitative easing, what is beggar thy neighbor
Posted in currencies, General | 4 Comments »
Posted by Larry Doyle on August 1st, 2011 7:40 AM |
What now? What lies ahead on the challenging and winding road filled with clouds and great unknowns that defines our American economic landscape?
The political circus in Washington has clearly taken center stage over the last few weeks. Watching this show has been anything but entertaining and don’t think the theatrics do not harm our economy. They do.
Uncertainty breeds risk aversion and our economy needs people and businesses willing to take risks.
Can we assume that the passage of a bipartisan debt package means we can get back to business as usual and that the economy will rebound? Not so fast. (more…)
Tags: America needs term limits, Barclays revisions to GDP forecasts, cooking the books, details of debt deal, fixing politics, future of economy August 2011, GDP revisions, give us term limits, impact of credit rating downgrade, impact of quantitative easing, increase in debt ceiling, meaningful deficit reduction, means testing for entitlement programs, monetization of our debt, monetize the debt, need for campaign finance reform, political circus in Washington August 2011, public service was not meant to be a career, reforming our tax code, Terry Belton of JP Morgan, walking pneumonia economy, what does debt deal mean for our economy, what is ahead on our economic landscape, what lies ahead for our economy August 2011, will credit rating sagencies downgrade our debt, will debt deal help economy, will debt deal help nation, will we have a QE3 August 2011
Posted in General | 8 Comments »
Posted by Larry Doyle on April 8th, 2011 7:45 AM |
Ben Bernanke’s grand economic experiment of quantitative easing is nothing more than a policy of implementing negative real interest rates. That policy may provide support to puff the markets but it also promotes a very real transfer of wealth and income. The simple fact is quantitative easing and negative real interest rates as a formal monetary policy are neither practical nor sustainable over the long haul.
What do I view as a very real and dangerous consequence of Bernanke’s policy? I am of the strong opinion that Bernanke has created a facade behind which many in Washington and around the country continue to “fiddle while the United States burns.” We evidence this fiddling reality in the midst of the petulant and pathetic budget debate ongoing in Washington. While our leaders nitpick over pennies in order to ‘keep the lights on’, the destructive structural deficit our nation faces casts a very long shadow across our nation’s entire landscape. I firmly believe that many politicians have little true appreciation for that reality. (more…)
Tags: Ben Bernanke, budget debate April 2011, budget debate in Washington, consequence of quantitative easing, cost of entitlement programs, costs of higher taxes, costs of lower government services, costs of Medicare and Medicaid, costs of Social Security, Dr. Brian Taylor, fiddling while the United States burns, fiddling while US burns, fiscal ineptitude, GFD, Global Financial Data, higher health care costs for the elderly, higher interest rates, impact of aging population, impact of quantitative easing, issues related to quantitative easing, net wealth of society, paying off government debt, Paying Off Government Debt Two Centuries of Global Experience, quantitative easing as formal monetary policy, risks of structural deficits, sustainability of negative real interest rates, transfer of wealth and income
Posted in General | 6 Comments »
Posted by Larry Doyle on November 5th, 2010 9:49 AM |
Life is ultimately a matter of perspective.
Two people can look at a situation and see decidedly different things. Having been traveling for the better part of this week, I got home late last night to check on how markets closed yesterday. When I saw that equity markets rallied 2 per cent, commodities rose a like amount, and bonds also increased in value, I was not surprised but I was not thinking that I had reason to be cheerful either. I merely raised my eyebrows and went to bed knowing full well that to many people in our nation, these market movements would have little to no impact on their daily lives and immediate futures.
Am I being excessively pessimistic in my assessment? (more…)
Tags: Bernanke, bond market reaction to quantitative easing, central bankers comments about quantitative easing, economic impact of quantitative easing, effect of quantitative easing, emerging markets impact from quantitative easing, equity market reaction to quantitative easing, Geithner, impact of quantitative easing, markets reaction to quantitative easing, Martin Feldstein on quantitative easing, Obama, QE2, quantitative easing, real cost of quantitative easing
Posted in General | 7 Comments »
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The Real Cost of Quantitative Easing
Posted by Larry Doyle on November 5th, 2010 9:49 AM |
Life is ultimately a matter of perspective.
Two people can look at a situation and see decidedly different things. Having been traveling for the better part of this week, I got home late last night to check on how markets closed yesterday. When I saw that equity markets rallied 2 per cent, commodities rose a like amount, and bonds also increased in value, I was not surprised but I was not thinking that I had reason to be cheerful either. I merely raised my eyebrows and went to bed knowing full well that to many people in our nation, these market movements would have little to no impact on their daily lives and immediate futures.
Am I being excessively pessimistic in my assessment? (more…)
Tags: Bernanke, bond market reaction to quantitative easing, central bankers comments about quantitative easing, economic impact of quantitative easing, effect of quantitative easing, emerging markets impact from quantitative easing, equity market reaction to quantitative easing, Geithner, impact of quantitative easing, markets reaction to quantitative easing, Martin Feldstein on quantitative easing, Obama, QE2, quantitative easing, real cost of quantitative easing
Posted in General | 7 Comments »